Do Trendlines work?

Here is a chart of GBPJPY which has been trending down.

You can see that there have been 2 places to make money.

One is if you traded short when price bounced off of the downward sloping trend line which has acted as resistance that price has respected so far.

The 2nd would have been when price bounced off of support which again has been respected by price so far.

 

Here is a brief annotation. I used an arbitrary scaling on the 60 min chart.

 

Here is the EUR/USD chart. Time is East Coast to help compare volume/activity with the US market hours.

What could be used for a leading indicator? Cyber model? There are both spot and Futures FX contracts. Something along those lines or a more complex composite model?

Didn't have time to put in volume gaussians but not sure if they're applicable based on ticks (which I assume this chart volume is based on), though you can see some obvious correlation. What can be used as a substitute for volume? In the lower window I put in a one period ATR to look at the bar volatility as a possible substitute in addition to the tick volume.

What volume proxies do you find helpful?

You mentioned you're usually on the 5min chart, many tend to use 1 hour, or longer, and 15 min at minimum in FX. Guess it would depend on the liquidity, and time of day would be a big factor there. 5 min looks fine on the EUR/USD

Regards - EZ

 

Are you an engineer?
I am not really sure what the hell all of that annotation is.
All that to look at price action?
Please don't even try to answer this or explain as I am sure another lengthy answer that is too long to follow would ensue.
(no offense)

 

Let's track GPB JPY

 

This setup worked as in a book
Only the prices jumped over the entry point.

 

Hello Guys,
which is the valid TL?
It seems that the valid TL is this one which is still not broken. How do you think?

P.S. I'm about to go long with EBAY till 35 USD.

 

Ooooops
I put the wrong file.
Below is the real one.

 

Here it is.

 

Here is the chart, updated, with some notes on the short.

Also, there is a good possible long set up, RIGHT NOW.
Price has bounced from support (34) and is breaking the downtrend line. A possible entry could be over the swing high around 35.25 - 35.50